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Offering 401(k) can help small employers reduce turnover: Study


Offering a 401(k) retirement plan can lead to an annual cost savings of more than $100,000 in reduced employee turnover costs for small and medium-sized businesses, says a new study, BenefitsPro reports. The research by Gusto, a benefits platform, found that workers in SMBs are on average 40% less likely to leave in the first year when they are offered retirement benefits. For some jobs – such as retail and food and beverage jobs, which traditionally are the least likely to offer retirement plans – the retention rate jumps as high as 54%.

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